{"id":183760,"date":"2020-08-10T21:33:18","date_gmt":"2020-08-10T21:33:18","guid":{"rendered":"https:\/\/stockchase.com\/discover\/?p=183760"},"modified":"2020-08-10T21:33:18","modified_gmt":"2020-08-10T21:33:18","slug":"rally-sees-rotation-from-tech-into-cyclicals","status":"publish","type":"post","link":"https:\/\/stockchase.com\/discover\/rally-sees-rotation-from-tech-into-cyclicals\/","title":{"rendered":"Rally sees rotation from tech into cyclicals"},"content":{"rendered":"<p>Markets began the week on an upbeat note as oil rallied on <a href=\"https:\/\/edition.cnn.com\/2020\/08\/10\/investing\/premarket-stocks-trading\/index.html\" target=\"_blank\" rel=\"noopener\">Saudi Aramco<\/a>&#8216;s positive outlook about China sustaining oil demand in the near future, even though Saudi Aramco reported a sharp plunge in profits. Meanwhile, North American investors continue to rotate out of tech stocks into cyclicals. The TSX rose 0.37%, driven by energy stocks surging 2.12% and financials at 1.26%.<\/p>\n<p>Earnings continued in Canada with <a href=\"https:\/\/finance.yahoo.com\/news\/barrick-gold-gold-beats-q2-113511064.html\" target=\"_blank\" rel=\"noopener\">Barrick Gold<\/a> beating Q2 estimates as the current gold rush has spiked demand for the shiny rock. Though <a href=\"https:\/\/stockchase.com\/company\/view\/9\/ABX-T\">Barrick<\/a> increased its dividend by 14%, it still closed -0.62%, declining from a morning rally. <a href=\"https:\/\/finance.yahoo.com\/video\/stocks-move-canopy-growth-trades-191938766.html\" target=\"_blank\" rel=\"noopener\">Canopy<\/a> also reported strong results, with earnings rising from higher demand for cannabis. <a href=\"https:\/\/stockchase.com\/company\/view\/4811\/WEED-T\">Canopy<\/a> soared 7.41%.<\/p>\n<p>In the States, <a href=\"https:\/\/edition.cnn.com\/2020\/08\/08\/politics\/trump-executive-order-stimulus\/index.html\" target=\"_blank\" rel=\"noopener\">Trump<\/a> over the weekend extended financial relief to individual Americans as the Republicans and Demoncrats continue to haggle over a stimulus deal that will likely exceed US$1.3 trillion. This deal remains in a holding pattern. However, the emerging trend since last week continues to be the rotation out of tech stocks&#8211;which have been powering the markets this year&#8211;into cyclicals. For instance, <a href=\"https:\/\/stockchase.com\/company\/view\/4277\/FB-Q\">Facebook<\/a> sold off 2% in Monday&#8217;s session and the Nasdaq closed -0.39%. In contrast, the S&amp;P rose 0.28% to close less than 1% from its record high, and the Dow Jones leapt 1.31%, closing at a session high despite light trading. <a href=\"https:\/\/finance.yahoo.com\/m\/2f93d198-3bb3-3995-9300-16da738559ad\/foot-locker-got-a-q2-boost.html\" target=\"_blank\" rel=\"noopener\">Foot Locker<\/a> jumped 7.82% after reporting rising revenues in Q2.<\/p>\n<p>&#x1f947; <a href=\"https:\/\/stockchase.com\/company\/view\/9\/ABX-T\">Barrick Gold<\/a> -0.62%<br \/>\n&#x1f33f; <a href=\"https:\/\/stockchase.com\/company\/view\/4811\/WEED-T\">Canopy Growth Corp.<\/a> +7.41%<br \/>\n&#x1f575;&#xfe0f;&#x200d;&#x2642;&#xfe0f; <a href=\"https:\/\/stockchase.com\/company\/view\/4277\/FB-Q\">Facebook<\/a> -1%<br \/>\n&#x1f45f; <a href=\"https:\/\/stockchase.com\/company\/view\/3093\/FL-N\">Foot Locker<\/a> +7.82%<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Markets began the week on an upbeat note as oil rallied on Saudi Aramco&#8216;s positive outlook about China sustaining oil demand in the near future, even though Saudi Aramco reported a sharp plunge in profits. Meanwhile, North American investors continue [&hellip;]<\/p>\n","protected":false},"author":12,"featured_media":174836,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"cwp_meta_box_check":"No","cwp_rev_product_name":"","cwp_rev_product_image":"","wppr_links":[],"cwp_rev_price":"","wppr_options":[],"wppr_pros":[],"wppr_cons":[],"footnotes":""},"categories":[178],"tags":[],"class_list":["post-183760","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-daily"],"wppr_data":{"cwp_meta_box_check":"No"},"_links":{"self":[{"href":"https:\/\/stockchase.com\/discover\/wp-json\/wp\/v2\/posts\/183760","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/stockchase.com\/discover\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/stockchase.com\/discover\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/stockchase.com\/discover\/wp-json\/wp\/v2\/users\/12"}],"replies":[{"embeddable":true,"href":"https:\/\/stockchase.com\/discover\/wp-json\/wp\/v2\/comments?post=183760"}],"version-history":[{"count":0,"href":"https:\/\/stockchase.com\/discover\/wp-json\/wp\/v2\/posts\/183760\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/stockchase.com\/discover\/wp-json\/wp\/v2\/media\/174836"}],"wp:attachment":[{"href":"https:\/\/stockchase.com\/discover\/wp-json\/wp\/v2\/media?parent=183760"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/stockchase.com\/discover\/wp-json\/wp\/v2\/categories?post=183760"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/stockchase.com\/discover\/wp-json\/wp\/v2\/tags?post=183760"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}